Introduction
When it comes to finding your target market, it is essential for you to understand who will be interested to buy your product.
A target market is the group of customers that a business has identified as the ideal consumers for its products or services. Target market examples are often used to help businesses segment the market and identify potential customers.
Examples of target market for your business can range from age groups, geographic areas, gender, income level, occupation, interests and more.
By understanding your target market’s needs and wants, you can better customize your marketing efforts to reach them.
This will help you increase brand loyalty by providing customers with what they are looking for in terms of product selection, pricing and customer service.
Target market examples can also help you identify new opportunities and expand your customer base. With a little research, creativity and market selection, you can find the right target audience for your business and start building relationships with them that will last a lifetime.
Target Market Definition
Finding the right audience is key. Identify your ideal customer – the people that your product or service was created to serve.
Then, focus your marketing efforts on them. Knowing who you’re targeting makes it easier to create meaningful solutions that cater to their needs.
When it comes to target markets, there are a few specific factors that come into play. Demographics like age, married status and income are important. Additionally, geographic info such as city or zip code can give a general idea of where people live.
On the other hand, psychographics and behavioural info offer valuable insights into their interests, values and spending habits. Ultimately, these determine who is most likely to buy from you.
Finding the right target market can be a great way to leverage your marketing dollars. Narrowing down who you should focus on can help you identify and meet the needs of customers.
This helps you optimize your return-on-investment. This ensures that you can get the most out of every dollar spent on your marketing efforts.
Defining a Target Market Audience
E-commerce stores can be highly successful if they take the time to identify a target market and target audience. For example, when McDonald’s advertises their Happy Meals, it is obvious that its primary target market is children.
However, their primary target audience is the adults who will be purchasing the meals on behalf of the children.
Therefore, they focus on aspects like the nutritional value that would be important considerations for adults making purchase decisions.
If you want to maximize your return from e-commerce this year, consider your target market and target audience to craft effective ads that resonate with both.
The 2010 Old Spice advert, was a perfect example of how to target both a market and an audience. Proctor & Gamble found that 60% of men’s body care products were bought by women.
So they created a campaign to appeal to both men and women, introducing the world to ‘the man your man could smell like’.
P&G identified that there was a gap between their traditional target market (men aged 18 – 35) and those whom they wanted to influence with their Old Spice ads – the wives and girlfriends of these men.
To take advantage of this information, they crafted marketing campaigns targeting women.
So, if you want your business to succeed, it is important to understand the difference between who you are selling to and who you need to reach to spread the message about your product.
Go Through Target Market Examples
Don’t reinvent the wheel – use target market examples to identify the ideal fit for your business! Target market examples are an excellent way to streamline the process of finding consumer groups, their interests and habits both digitally and physcially.
Check out our target market examples so you can get ahead of the game!
Target Market Segmentation Examples
Targeting research can be an effective way for businesses to create a detailed audience profile. By studying successful campaigns from well-known brands, entrepreneurs can learn how to define their own target market and apply these learnings to their marketing plan.
1. Netflix Target Customer
Netflix isn’t just a ‘one size fits all‘ experience. Their well-crafted algorithms and research ensure that each user receives precisely tailored content and marketing according to their individual preferences.
In other words: your Netflix account could look very different from someone else’s!
It’s also worth noting that Netflix began as a DVD delivery service, sending discs to those looking for something to watch. However, with the rise of streaming technology, they took their customer needs into consideration and shifted their focus.
Now they have an app, and they’ve even gone so far as to offer downloadable offline shows and movies tailored to each individual’s tastes.
2. Lego Target Marketing plan
Lego recognized that, although children were the users, it was parents doing the buying. So they crafted their marketing with this in mind – appealing to both the kids and the adults.
To top it off, Lego partnered with some of the most popular franchises around for added pull. All this knowledge and savvy resulted in a multi-billion dollar company.
3. Vans Target Market
Vans uses market research and customer feedback to carefully craft products tailored to their “misfit and rebel” audience. This means that every product is specifically designed for those who want something a little daring in their style.
With this bespoke approach, it’s no wonder Vans have become the go-to shoe brand for rebels around the world.
4. Coachella Target Market
Coachella has become an iconic annual music festival, drawing in fans from all walks of life. Making the most of their success, the festival has entered into strategic partnerships with other popular millennial brands such as H&M and YouTube.
With hipsters forming the primary market for Coachella, it is no surprise that their clever marketing efforts have earned them millions in revenue each year.
5. Nike Target Market
Nike understands what drives athletes and runners, especially young ones: motivation. That’s why their marketing campaigns feature inspiring stories that motivate viewers to go beyond their limits.
With the quality of Nike’s apparel, equipment, shoes, and accessories, it makes sense that the price range is slightly on the higher end,
After all, you want your gear to last for a long time. So, if you’re an aspiring athlete or runner looking for high-quality products, Nike can provide you with just that. But be prepared to make a bit of a larger financial investment.
How to Define Your Target Market Segment?
If you’re a small business owner, your success hinges on connecting with the right customers. Don’t settle for assumptions. Take the time to perform market research and use existing audience insights when defining your target market.
With demographic segmentation, you can rest assured that no valuable customer base will be excluded from your outreach. This guide will help you identify the ideal target customers for your brand.
1. Perform a market analysis
If you’re looking to reach the right market, analyzing potential customers beforehand is key. Different industries already have existing subgroups of shoppers that you can target.
In the auto repair industry, for instance, luxury car drivers, rideshare drivers and motorcyclists all have different needs which you can identify and use to your advantage.
By segmenting your potential market according to shared characteristics, you can gain a better understanding of the opportunities available to you.
Group these segments by similar characteristics. These features include age, lifestyle, location, etc.. And then hone in on a niche target market that you want to reach.
For instance, someone running a babysitting business might determine that working moms make up their market segment.
Also, single working moms could be their target market. From there, they can then further refine this target to identify even more specific customer needs and wants.
If you are looking to leverage your brand’s competitive advantage, it is important to identify the target markets that other companies have already conquered.
Evaluating these successful businesses can provide insight into which shoppers may be potential new customers for you.
By knowing where your competitors focus their attention, you can strategically hone in on the local segments that are open to discovering a new solution.
For example, Akron Honey provides an opportunity for customers to not just buy a delicious product, but to also experience the joy of supporting a social enterprise.
By combining flavour-infused honey with a positive impact on local communities, Akron Honey creates a unique customer experience.
2. Identify the key benefits of your business
Knowing how to identify and fulfill customer needs is the key to successful marketing. As Kotler states, it is not about selling what you make but understanding what people want and creating solutions.
The most effective brands are those that can recognize what customers are seeking to achieve, rather than just providing them with a product or service.
Theodore Levitt’s famous quote focuses on this point by noting that customers don’t just purchase products – they purchase outcomes.
By focusing on the desired customer outcome, businesses can develop meaningful products and services that provide maximum benefit.
Knowing what industry experts like Kotler and Levitt have said, it’s not the technical details of your product or service that will make the sale.
What matters more are the benefits they offer your customers. Imagine if you’re selling exercise equipment, instead of straight specs, customers can benefit from improved self-image, physical health, mental wellbeing, confidence, and empowerment. These benefits speak to many people in ways that specs can’t.
When it comes to understanding the key benefits of your product or service, the questions you should ask yourself are simple yet powerful,
- What problem are you solving for people?
- What needs are you meeting?
- Are you fulfilling any desires?
Answering these questions will ensure that you have a well-informed grasp of exactly what your offering brings to the table.
3. Identify who will benefit most from these benefits
Once you’ve identified the key strengths of your product or service, you can begin to pinpoint which individuals would be most likely to benefit from these features and buy them. By honing in on these demographics, you will have a clearer idea of who your target market should be.
For example:
People who could benefit from at-home exercise equipment include:
• Middle-aged men who can’t make it to the gym.
• Overweight individuals with limited time.
• Young women who don’t feel comfortable in traditional gyms.
Data Points to Include in Your Niche Market
When defining your target market, reflect on its unique characteristics to better assess the needs and preferences of potential consumers.
1. Demographics
Demographic descriptions of your target market may include age, gender, employment status, life stage, family structure, religious views and income. Knowing these details can help you create a marketing strategy tailored to their needs.
- College students: Working and studying.
- Women 40–50: Busy professionals.
- Retired men: Experienced couples.
2. Geographics
The geographic location of your customers plays an important role. Consider the environment, region and language they live in along with their time zone. Additionally, ask how they use your product.
Is it something they consume on-site, or do they transport or send it to friends or family? Gaining a thorough understanding of these geographical factors will give you the insight you need to better reach and serve your target customers.
3. Psychographic
Psychographics are about understanding people on a deeper level – their hobbies, interests, or where they get their information from. You can use this knowledge to build meaningful connections and create experiences that resonate.
4. Behavioural patterns
Analyzing consumer behaviour is key to understanding what drives your customer’s purchasing decisions. Ask yourself: What do they look for in your product or service?
When and how often do they use it? By uncovering these behavioural patterns, you can lead your target market to success.
Types Of Target Markets
1. Mass Market
Mass market products are designed to appeal to a wide range of customers – often making up 50-100% of the total market cap.
Common examples include soda, laundry detergent and other items that come in one size or style and do not require customization. Companies selling mass market products seek to maximize sales by offering large quantities of a single product.
2. Broad Market
Broad market strategies are an effective way of targeting a more focused segment of a larger target market. Generally, these strategies involve creating products that appeal to 25-50% of the total market cap.
Examples can range from over-the-counter medicines for specific ailments to clothing items or children’s toys. By offering products tailored to this portion of the market, businesses can maximize their potential profits while addressing the specific needs of their customers.
3. Niche Markets
For certain industries and product offerings, an effective marketing approach can be to hone in on a specialized segment or sub-segment of the market.
This tactic, known as niche marketing, targets potential customers who are likely to find value in the solution being offered.
A perfect example of this concept is found in the running world. Within the massive running community lies a lone trail runner group that can be further broken down into winter trail runners—an even more specialized sub-segment.
By taking a narrow approach to marketing, businesses can tap into distinct needs while simultaneously tailoring their message accordingly.
Conclusion
Once you have identified your target market, you can use target market examples to help you better understand your prospective market.
Knowing who your target market is and understanding the characteristics that define them will help your business grow by targeting the right section of the market.
Having a clear understanding of who your target market is will help you make better decisions for marketing strategies and product development.
By using examples of target markets, you can get a better understanding of how to identify and reach out to potential customers.
With this knowledge, you can make decisions that are based on consumer behaviours, values, and preferences that will help your business in the long run.
Good Luck!
